Seagate 2013 Annual Report Download - page 35

Table of Contents
Our international operations subject us to risks related to economic conditions, political unrest and terrorism.
We have manufacturing facilities in parts of the world that periodically experience political unrest. This could disrupt our ability to
manufacture important components as well as cause interruptions and/or delays in our ability to ship components to other locations for continued
manufacture and assembly. Any such delays or interruptions could result in delays in our ability to fill orders and have an adverse effect on our
results of operations and financial condition. U.S. and international responses to the ongoing hostilities in various regions and the risk of terrorist
attacks or hostilities elsewhere in the world could exacerbate these risks.
Macroeconomic developments like the debt crisis in certain countries in the European Union and slowing economies in parts of Asia and
South America could negatively affect our business, operating results or financial condition which, in turn, could adversely affect our stock
price. A general weakening of, and related declining corporate confidence in, the global economy or the curtailment in government or corporate
spending could cause current or potential customers to reduce their information technology (IT) budgets or be unable to fund hardware systems,
which could cause customers to delay, decrease or cancel purchases of our products or cause customers not to pay us or to delay paying us for
previously purchased products and services.
In addition, political unrest in regions like the Middle East, terrorist attacks around the globe and the potential for other hostilities in various
parts of the world, potential public health crises and natural disasters continue to contribute to a climate of economic and political uncertainty
that could adversely affect our results of operations and financial condition, including our revenue growth and profitability. These factors
generally have the strongest effect on our sales.
The loss of key executive officers and employees could negatively impact our business prospects.
Our future performance depends to a significant degree upon the continued service of key members of management as well as marketing,
sales and product development personnel. The loss of one or more of our key personnel may have a material adverse effect on our business,
results of operations and financial condition. We believe our future success will also depend in large part upon our ability to attract, retain and
further motivate highly skilled management, marketing, sales and product development personnel. We have experienced intense competition for
personnel, and we cannot assure you that we will be able to retain our key employees or that we will be successful in attracting, assimilating and
retaining personnel in the future.
Significant fluctuations in the market price of our ordinary shares could result in securities class action claims against us.
Significant price and value fluctuations have occurred with respect to the publicly traded securities of technology companies. The price of
our ordinary shares is likely to be volatile in the future. In the past, following periods of decline in the market price of a company's securities,
class action lawsuits have often been pursued against that company. If similar litigation were pursued against us, it could result in substantial
costs and a diversion of management's attention and resources, which could materially adversely affect our results of operations, financial
condition and liquidity.
Deterioration in global credit and financial market conditions could negatively impact the value of our current portfolio of cash equivalents
or short-term investments and our ability to meet our financing objectives.
Our cash and cash equivalents are maintained in highly liquid investments with remaining maturities of 90 days or less at the time of
purchase. Our short-term investments consist primarily of readily marketable debt securities with remaining maturities of more than 90 days at
the time of purchase. Our investment policy has as its principal objectives the preservation of principal and maintenance of liquidity.
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